At present, China's US dollar foreign exchange reserves can be converted into 85,400 tons if all of them are converted into gold.

At present, China's gold reserves are 1708 tons, and the foreign exchange reserves of US dollars are 3.5 trillion. Compared with dollar reserves, gold accounts for less than 2%. If all foreign exchange is converted into gold, it will be a huge amount! This kind of thing is impossible.

Diversification of foreign exchange reserves is of great significance to the country's foreign exchange strategy, monetary policy and foreign trade finance. On the one hand, the reserve function of gold is to serve as the backing of RMB, and more importantly, it is also to use the irreplaceable solvency of gold to stabilize economic development in extreme cases, and to cope with the financial turmoil and the purchase of special materials that may be brought about in extreme cases such as war. In peacetime, diversified foreign exchange reserves are necessary and necessary!